BP To Breake Into Lukrative Market

British Petroleum and the number one Asian oil refiner Sinopec yesterday officially launched a gasoline station joint venture in East China's Zhejiang Province.

The benefit of BP is to become the second foreign company after Royal Dutch/Shell which breaks into the China's profitable retail market for oil products.

The joint venture is expected to build and operate 500 filling stations in three years in four Chinese provinces including Zhejiang, one of the most economically dynamic areas in China.

Sinopec holds 60 per cent in the joint venture of $266 million worth. It will be the exclusive supplier of oil products for the JV which has a tenure of 30 years.

BP CEO Lord John Browne said the new JV marks a new step forward for the long-term co-operation between the two companies.